Some, but not all, lenders will be willing to work with you on obtaining a car title loan even if you have an expired registration.
Many lenders require that your vehicle be properly registered because of state laws and regulations. Plus, an above-board and updated registration helps protect lenders in case of fraud.
Lenders like to see an up-to-date registration because it's like a stamp of approval from the government. It says that your car is legit and that you're a responsible driver. This is important to lenders because they want to make sure that they're lending money to someone who can actually pay it back.
Plus, if your car doesn't pass state safety and emission standards (which can be part of the registration process), the lender might not be able to sell it if you default on the loan.
There are some legitimate reasons why you might have an expired registration (some better than others):
- You just recently moved to a new state.
- You just purchased the vehicle or were given the vehicle.
- You just simply forgot (like you forgot to turn in your high school homework 😜).
If any of those above apply, some lenders may understand your situation and work with you. The main quality lenders are looking for is this: Do you have a clear title to your vehicle? If yes, then they may still offer a title loan to you.
Keep in mind though, without proper registration, you may limit how much you can borrow and the lender may increase interest rates since an unregistered car poses more of a risk.